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Capgemini sees annual revenues drop 5.5%
 
 Capgemini reported total
revenues for the year
ended December 31, 2009
of € 8.37 billion, down
3.9% on 2008 published
revenues. On a
like-for-like basis
revenues fell 5.5% on
last year.
  
   Bookings totalled
€9.28 billion during the
year, down 2% on
comparable figures for
last year. Outsourcing
 
 Services – and
particularly Business
Process Outsourcing –
proved particularly
dynamic, with a 14% surge
in bookings. Bookings in
the other businesses had
an average book-to-bill
ratio of 1.08.
  
   Net other operating
expense is €262 million
and mainly comprises
restructuring costs (€213
million) necessitated by
 
  
   
 
 
 income tax expense of €61
million, group profit for
the year is €178 million.
  
   Capgemini said the IT
services market appears
to be stabilizing in the
first half of 2010. The
group has, in particular,
noted a significant
increase in the appetite
of clients for larger
projects and, in several
geographical areas, a
turnaround in the
 
 attrition rate, which
generally reflects an
upturn in activity.
Capgemini will record a
further fall in revenues
in the first half of
2010, before a return to
growth in the second half
of the year. For 2010 as
a whole, the group
forecasts a slight
contraction of between 2%
and 4% on a like-for-like
basis, with an operating
margin rate of between 6%
 
 the drop in demand. As a
result, operating profit
is only €333 million.
  
   The net financial
expense is €93 million
and was heavily affected
by the fall in short-term
interest rates, which led
to a marked decrease in
returns on cash
investments. After the
 
 
Atos Origin achieves 2009 operating margin goal
 
 Atos Origin announced its
results for the full year
ending 31 December 2009,
reporting revenue of
€5.13 billion, down 3.7%
compared to 2008 at
constant scope and
exchange rates.
  
   Operating margin
reached €290 million,
representing 5.7% of
revenue and up more than
80 basis points compared
to 2008. At same scope
and exchange rates,
operating margin
increased by 13%. Atos’
objective was to increase
its operating margin rate
by 50 to 100 basis points
during the year.
  
   Net income for the
year was €32 million
after several non
recurring items,
including a €154 million
 
 company restructuring
charge, compared to €23
million in 2008. Adjusted
net income was €196
million, up by 9% on
2008.
  
   Thierry Breton,
Chairman and CEO of Atos
Origin declared: “Despite
a declining economy in
2009, the Group achieved
its objectives. The
operating margin
increased by more than 80
basis points and the cash
flow generation improved
to reduce the net debt by
165 million euros.
  
   “The transformation of
the Group, in particular
through its deep
reorganisation and the
TOP Program, allows us to
pursue in 2010 according
to our plan the
improvement of the
 
  
   
 
 
 
 
 slight increase.
  
   Due to the Arcandor
bankruptcy, Atos expects
in 2010 a slight revenue
organic decrease, however
at a lesser extent than
the one seen in 2009.
  
   Representing 5% of
revenues, Consulting
revenue reached €248
million down 23.7% at
same scope and exchange
rates compared to 2008.
  
   Throughout the year,
this activity faced tough
market conditions, in
particular due to delays
or cancellations of
projects from large
customers. However,
during the fourth
quarter, Consulting grew
sequentially by 14.1%.
  
   Revenue by
 
 geographical area
  
   The United Kingdom
reported organic growth
of 7.4% thanks to the
contribution of Managed
Services.
  
   France saw a slight
decline of 3.0%; Rest of
the World declined 4%
thanks to the growth in
Asia.
  
   Benelux reported a
decline of 13.6% affected
throughout the year by
the weight of cyclical
activities, namely
Consulting and Time &
Materials.
  
   Germany Central Europe
/ EMA was down by 6.7%
and Iberia / South
America by 10.1% due
mainly to the negative
impact of cyclical
 
 profitability and the
reduction of the
financial debt.”
  
   Orders in 2009
totalled €5.15 billion in
2009, down 3% organically
compared to 2008. At 31
December 2009, full
backlog was €6.8 billion,
representing 1.3 year of
revenue. This amount
includes the cancellation
of almost EUR 400 million
due to Arcandor’s
bankruptcy.
  
   The full qualified
pipeline was €3 billion,
up 14% compared to 2008,
mainly thanks to HTTS and
Medical BPO; Systems
Integration showed a